Contact us anytime to know more - Abhishek P., Founder & CFO CISIN
IT staff augmentation is a great option to expand your technical development capabilities without hiring more people. You can stop new hires, but technology never stops. Just because the supply of developers has stopped growing, there is still demand for them. Developers must deal with many problems during hiring freezes to grow their user base. When it works, the struggle only gets worse.
This is a common situation: A company experiences a surge in customers and user volume, but they need to be allowed to hire new developers. How can they and other companies in similar situations expect to serve all of those clients? If you have the skills to solve it, it's a significant problem.
What is IT Staff Augmentation?
Outsourcing talent for IT staff augmentation helps to fill the skills gap left by in-house workers. Outsourced talent may be hired temporarily or permanently.
The IT staff augmentation team at your company will analyze and identify any skill gaps in your current team and then hire the appropriate skillset. These people can be employed depending on the needs of a specific project.
Outsourcing is the process of hiring professionals from remote locations. New startups with little capital can greatly benefit from IT staff augmentation. However, large tech companies can supplement their existing workforce by hiring remote talent.
IT Staff Augmentation is a Solution for Increased Workloads
Suppose you need more team members but can't afford to keep anyone on staff. IT staff augmentation is the primary benefit in allowing you to hire more developers quickly without committing to long-term hiring. This will allow your team to reduce individual workloads and achieve more overall.
Staff augmentation allows you to take the partnership at face value, as you will be working with independent contractors. You can end the engagement anytime or invite them to stay longer if necessary. Staff augmentation developers can make flexible arrangements. They are already experts in their field, so you don't need to train them beyond the basics of your company.
Technology has advanced by leaps and bounds in the world. The business model of businesses has also evolved to reflect this change. It has become increasingly challenging to hire the right person for the job due to the increasing competition. This is where IT staff augmenting comes in, which has become the buzzword in the IT industry.
Employing developers used to take a lot of capital and time. Remote hiring is becoming more popular because it takes less time, costs less, and allows companies access to a worldwide talent pool.
Situations When IT staff Augmentation is Needed by Businesses
Different projects require different skills. Sometimes the skills needed for a project may not be available to the in-house staff. This is where IT staff augmentation becomes necessary.
- Staff augmentation allows companies to hire talent temporarily to fill the skills gap. These professionals often have the same expertise as the in-house staff.
- Remote experts can deliver a better outcome.
- Remote hiring is a good option if you have extra resources.
- Reduce operational costs: Hiring part-time remote professionals for specific projects can save you much more than hiring full-time employees with the same skills.
Read More:- What is an IT Staff Augmentation? Its Challenges & Benefits
12 ways IT staff Augmentation can Help your Business
1. Flexibility:
The company and the remote worker can benefit from the project-based hiring of remote workers. It can be cheaper to hire remote workers than full-time employees. Experts can also be employed depending on the project's requirements. They can complement and help the existing team to achieve maximum results.
Professionals can also benefit from being hired remotely as they can focus on what they are passionate about and not all the projects at a company.
2. Accessing a large talent base:
Remote hiring allows companies to access a wider talent pool. Remote talent hiring is possible without the need to be physically present at the office.
Professionals also have new opportunities. With the right skills and talent, millennials can work for global companies and show their expertise. This increases job opportunities.
3. A cost-effective competitive edge:
Companies don't have to bear the long-term costs of remote hiring. It allows companies to reach more people by hiring experts from the global talent pool. Talented individuals can be accessed at a fraction of the cost of traditional recruitment. Companies can gain a competitive advantage over those who don't have such a talent pool.
4. Reduced infrastructure costs:
Remote hiring reduces a company's infrastructure costs when compared to traditional employees. Remote professionals don't need to have their own offices.
Employees can work at home or at the office of the supplying organization. Employees are responsible for their work for their employers.
5. Scaling up businesses safely
Businesses can grow without taking on the risk of losing investment or failure. Companies can hire temporarily to increase their workforce without investing in full-time employees.
Companies can also adapt better to changing market demands by hiring talent on an individual basis. New talent can open up new opportunities and innovation.
6. Do not stagnate your ideas
Static employees can lead to outdated ideas being lost. Companies can benefit from millennials with their modern worldviews.
7. Being in control
Contrary to traditional outsourcing, where you lose control of an outside agency, IT staff augmentation allows you to retain complete control over the project.
Only an external agency will be responsible for hiring your human resources. You, the parent company, are still in control of all aspects of the project.
8. Cost-effective
The most appealing benefit of staff augmentation, aside from all the other benefits, is its cost-effectiveness. The company can save money on staff augmentation by hiring temporary staff. This allows them to reduce their monthly salary, onboarding, bonuses, and taxes. They also can train, manage, and even pay for their medical care.
Businesses can pay for IT staff augmentation for a set period. Companies can reach broader markets and expand their business opportunities with their extended workforce.
Two factors make staff augmentation more cost-effective:
- You can access a wider talent pool and lower costs than traditional hiring.
- Businesses with augmented experts are better positioned than their competitors because they have more flexible talent.
9. Access to larger talent pools
Businesses compete with businesses worldwide in today's globalized world. Why should talent be restricted to local staff?
Through IT staff augmentation, you can bring in global experts in the most in-demand technologies and tools.
The services of IT staff augmentation allow you to access a wider talent pool worldwide. The chances of finding professionals that match your needs increases by hiring talents from multiple countries. These professionals use advanced strategies to help with complex projects.
They have extensive market knowledge and experience. They add value to your projects and can help you achieve profitability.
10. Flexibility in the workplace
Staff augmentation has the most significant benefit: flexibility in the workforce. This directly affects the cost of hiring. Temporary employees can be hired for a particular purpose or a specific duration.
This refers to the workforce, which can be scaled up or down according to the needs. The ability to attract new talent is limited by the inability to hire permanent or full-time staff. Staff augmentation allows you to select the most qualified professionals by focusing on ongoing projects. The professionals are available for short-term engagements.
11. Smooth operation
Your business will have an advantage by hiring skilled staff to augment its operations. These professionals are domain-specific experts that bring efficiency to your operations.
The augmented staff is exposed to many technologies and tools, so they can immediately add value to the internal team. They are not required to be trained and can ensure smooth operation. Businesses can save time and money by improving their operational efficiency.
New technologies are introduced to the market annually in this digitally evolving landscape. It is becoming increasingly more work for businesses to acquire this expertise quickly. Augmented staff is focused on adapting and advancing their skills according to the changing market.
12. In-house teams empowered
Even if companies have sufficient internal resources to handle day-to-day tasks, it is worth considering augmented staff for more complex projects that may require specialized skills. This is where hiring full-time staff can be a problem. Staff augmentation is the best solution.
This will alleviate the burden on in-house employees and allow businesses to adapt to changes in the market. Staff augmentation opens up new opportunities for companies seeking to adapt and expand to the changing market trends.
Services for IT Staff Augmentation
There are many IT staff augmentation services, each with specific functions.
- Time and Material model: Many projects require flexibility, regardless of the timeframe. Staff augmentation is a service that provides tech resources to companies, and they are charged for their time and material investments.
- Turnkey Project Model: This model is popular with IT giants and small businesses. It requires the least amount of hassle. The IT staff augmentation agency will supply talent according to clients' requests.
- The Dedicated Developer Model: This model is popular for hiring remote talent, particularly for long-term projects. Companies can hire dedicated developers according to their requirements and skill set. The number of developers a company employs determines the cost to them.
- Model of Custom Hiring: Some projects require different skill sets or expertise. Each project is unique and may have specific requirements at any point in the project's duration.
This model allows IT firms to hire specialists for certain aspects of the project, such as editing and testing, maintenance, etc.
How Can you Maximize Staff Augmentation to Reap Maximum Benefits?
- Clear expectations are essential to communicate effectively. Your hired staff may need help expressing their requirements. You will get better results if you communicate what you need.
- Time for communication: The problem with remote talent hiring is the time difference. Communicating with the expert you have hired can be challenging if he is in a different time zone. To avoid this, set up a time you and your employee can communicate.
- Identify roles and the workflow. This is crucial for productivity and trust-building among remote and in-house employees. After you have established positions, define the workflow. Every employee, whether remote or in-house, should know the next step.
- Accept changes: Although your in-house staff works within a time frame, it is essential to allow flexibility for remote workers.
Flexibility can lead to greater productivity and efficiency. Accept the suggestions and changes that manage a remote team.
Are You Looking for IT Staff Augmentation Services?
Software companies can use IT staff augmentation to find talented people with the right expertise without investing significantly. This is an excellent way for companies to expand their reach and grow their business.
Staff augmentation is beneficial not only for companies but also for skilled workers. Many millennials can work remotely for big tech companies. This also opens up millions of opportunities for experts in their fields to find employment.
How to Choose the Right Staff Augmentation Model
- Traditional staffing agencies: These agencies provide temporary workers from different industries to companies. These agencies are great for projects that do not require a high degree of skill.
The first example is Adecco.
- Boutique staffing agencies are small agencies that specialize in finding skilled workers for specific projects.
DistantJob is the second example.
- Vendor staffing providers are large-scale staffing programs managed by one vendor. This is a great option for companies that value low costs and want to scale quickly.
Randstad is the third example.
- Online platforms provide instant access for hiring managers to independent workers and freelancers. This is an excellent option for companies that want to cut their hiring costs and don't require specialized workers for critical projects.
Fourth example: Upwork
- Platforms that provide on-demand talent: Provide access to highly skilled talent who can be hired quickly. This is an excellent option for companies looking to hire remote employees rapidly.
Last example: BTG
What is Staff Augmentation Consulting?
If you need help choosing a suitable staff augmentation model or it is unclear which one you should use, you can hire a staff consultant to guide you through the process. They will give you insights and ensure that your company's data and information are safe when you sign the contract.
What is the Difference Between Staff Augmentation and Outsourcing?
Many people mistake staff augmentation for outsourcing. These two strategies of hiring are fundamentally different. Outsourcing means handing the entire project over to an outside entity. This means that the outsourcing entity can control the project and take all risks, which can negatively affect businesses.
Companies typically use staff augmentation when they hire specific staff members to help them develop projects instead of hiring a whole team. Staff augmentation allows you to keep control of your projects. This includes when and how they are completed. This will enable you to maintain high-quality standards for each project.
Nearshoring: How do you Choose an IT Staff Augmentation Partner
As with all forms of outsourced development, staff augmentation requires that you identify the right culture fit. An outside partner may be able to see things that are obvious to you and your team. Focus on nearshore partners to reduce cultural barriers.
What is the Difference Between an Offshore and a Nearshore Partner?
It all boils down to the time zone. Nearshoring, a subset of offshoring, is when you work within three time zones of the company's physical location. Your talent search should focus on Latin America if your company is in the US. Their time zone is closest to ours. Examples of countries are Uruguay, Brazil, and Argentina. They are far enough from the US that their developer rates are significantly lower than ours. Still, it only creates a slight time difference between you. This will allow you to communicate with your clients and schedule meetings regularly.
Latin America is also well-versed in American culture and can be a good partner. This is better than partnering with a company in a different time zone than you. There will be more misunderstandings and fewer chances to fix them.
IT staff augmentation can be more flexible than traditional recruitment. If you are looking for flexibility, consider moving to another country. Don't be afraid to look beyond the borders. It is important to find a developer that fits into your team and can get to work immediately to finish your project on schedule.
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There are Three Types of Staff Enhancement
Your needs will dictate the type of staff augmentation you choose. There are three main types of staff augmentation: skill-based, highly skilled, and commodity.
Commodity
Staff augmentation via commodity doesn't require specializations. This staff augmentation model is more about urgency than learning certain skills.
This staff augmentation can include manual labor, factory work, or retail.
Skill-Based
Skill-based staff augmentation is more complex; it's not surprising. However, this type of staff augmentation does not require a lot of skill.
Some examples of skill-based staff augmentation include data entry and typing for clerical work.
Highly-Skilled
Last but not least is staff augmentation. This is the kind of staff augmentation you need.
Outsourced partners are highly skilled in IT and software development. These professions require experience and training. IT staff augmentation is not an excuse for mistakes in these areas.
How to Successfully Enhance Your Team
To successfully augment your team, there are several steps that you need to take. The IT augmentation process should be precise and meticulous, just like the scientific process.
Identify the problem
First, identify the problem. You should ask yourself the following questions: "What do I need?" "What am I lacking?"
Your permanent staff can also be consulted for their opinions. They are the best people to ask about your business's successes and failures.
Please Specify Your Needs
Once you have identified your problem, you can describe your needs in many different ways. All of these are important. These are some of the requirements that you need to specify:
- Are you looking for staff augmentation that is both short-term and long-term?
- Are you looking for staff augmentation that is skill-based or highly skilled?
- How many people will you need to augment your IT staff?
Agencies for Research Staff Augmentation
Before deciding which outsourcing agency to use, look at the IT staff augmentation market. Find out what you are looking for and use that as your starting point in all your searches.
Don't settle for the lowest price. While the costs should be affordable, you will get what you pay for.
Outsourcing offshore and nearshore has its advantages and disadvantages. You should weigh the pros and cons before deciding.
Depending on your business's needs, it will become a trade-and-take.
Limit Your Options
You should review and test the skills of your candidates. You also want to ensure your augmented staff has the soft skills necessary to work well with your team and collaborate effectively.
Make sure you have a good relationship with potential providers. Hiring someone who doesn't get along with others is not a good idea.
Negotiate with Your Chosen Partner
You should negotiate with your IT staff augmentation agency to get all details.
People shouldn't manipulate you. You shouldn't be afraid of being honest about what you want. However, it is important to remain rational about your requests.
Sign a contract
You can finally cross your 'ts and put your 'i's. You and your IT staff augmentation partner can sign a business contract.
When is Staff Augmentation Recommended?
People who desire the best of both are advised to recommend IT staff. People are familiar with the traditional outsourcing model that involves outsourcing your entire company to an agency that may sometimes seem foreign and alien.
However, staff augmentation lets you get to know the people you're working with. IT staff augmentation agencies- or other highly-skilled staff augment- can help you find a few professionals who will fit in seamlessly with your team.
This flexibility makes it more convenient to hire specialists if you use IT staff augmentation. This can be used to solve ongoing problems or provide a temporary solution.
How Do I get Started?
Each business will have its relationship with its technology staff augmentation team. Establishing what this relationship will look like long before any contract is signed is important. Considering the risks of your team becoming too dependent on augmentation is important. This can lead to lower business profits and even cause you to lose control.
The following questions are recommended:
- How will you identify the problem and measure progress toward solving it? This is an excellent opportunity to get feedback from your team.
- What level of skills will you require to complete this project? What number of people will you need? Although it may be challenging to find high-skilled people, they are usually well worth the effort.
- Do you have a long-term or short-term need for this person? Are you willing to call them for individual projects, or would you rather have them available on an ongoing basis?
The next step is to research agencies and find out who's qualified to work with your company. Next, negotiate the terms. Like everything else in life, it's not always the best solution. You can test their skills to make an informed decision and get a sense of their understanding. Consider their soft skills. These include communication and empathy. This will give you an indication of what it is like to work with them every day.
